CarMax Inc (NYSE: KMX) breached its 52-week low on Thursday after the firm’s second-quarter results were hit by weaker retail sales and higher loan loss provisions, leading to earnings and revenue misses.
The used-car retail giant reported second-quarter earnings per share of 64 cents, missing the analyst consensus estimate of $1.09.
Quarterly sales of $6.594 billion (down 6% year over year) missed the Street view of $7.024 billion.
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CarMax Auto Finance, or CAF, reported income of $102.6 million, down 11.2%. The decline came as higher loan loss provisions offset gains in net interest margins. CAF’s total interest margin percentage was 6.6% of average auto loans outstanding, up 50 basis points from the prior year’s second quarter.
CarMax said combined retail and wholesale used vehicle unit sales fell 4.1% in the …